Credit repair tips to improve your rating

In general, a credit rating/score is a measure of your probability to repay your loans. A credit score is based on your credit history and can be found in credit agencies reports

We can help you rebuild your credit!

At PaydayBank we pass on your information to lenders who credit check your application with credit reference agencies. Your payday loan application will in many cases undergo a fast tracked credit check against a major credit reference agency. This will leave a mark on your credit record and enable our underwriters to make a lending decision.

How does taking a payday loan help rebuild your credit?

If you’ve got a bad credit history, or no history at all, it can be extremely difficult to get accepted for new credit, including loans, credit cards, contracts and mortgages. Lenders and other organisations use information from credit agencies when deciding whether to lend you money, offer you credit, a contract or an account.

Credit agencies rate or score your ability to repay a loan based on your credit history. Your credit rating will be low and you will struggle to access many financial services if:

• You have not registered to vote at your current address

• You have no credit cards, loans or other contracts

• You have missed or have outstanding payments on cards or loans

• You have CCJs against you or if you are bankrupt

• You have been rejected for 2 or more loan applications in the last 6 months

We look at how credit ratings are worked out and what you can do to improve a poor credit score. This in turn will help rebuild your credit rating as it will show them that you have taken a loan and repaid it. This may happen every time you take a payday loan and in time will reflect a much better credit history.

In the long term you may find it easier to borrow larger amounts and your loan requests will be approved more often than not. On the other hand, failure to repay your loan may have a negative impact on your credit rating so if you think there may be a problem repaying your loan on your payday, please contact your lender a few days in advance.

In this section

• What is a credit score

• How to start repairing your credit rating

• More steps to improve your credit rating